Jul 02, 2012
To create a win-win business environment, the Council for Economic Planning and Development (CEPD) and the European Chamber of Commerce Taipei (ECCT) recently convened a coordination meeting to discuss issues raised in the ECCT’s “Position Papers.” The participants exchanged opinions on suggestions in regard to pharmaceutical, automotive, electrical enginery and equipment, finance, and intellectual property rights.
The CEPD reports that the government sector has resolved 66 of the 207 issues raised in the ECCT’s “2011-2012 Position Papers,” and that work is ongoing or breakthroughs are expected soon in regard to 84 other issues.
Coordination between the two sides has achieved progress, or at least consensus, in the following areas, among others: The Ministry of Transportation and Communications has agreed to open up the 77-81GHz radio frequency band for use in auto safety systems; and to accelerate the review of new drug applications, the Bureau of National Health Insurance has agreed to accept the ECCT’s suggestion that companies acquiring a drug license within six months after issuance of an approval letter may use the letter to apply to the Bureau for approval of the drug’s pricing, and the Bureau will process the application and carry out a substantive approval review.
In response to the ECCT’s suggestion that fund managers (including discretionary fund managers) should be allowed to serve concurrently as offshore fund or foreign institutional investor (FINI) investment advisors, the FSC indicates that it is currently mapping out the scope of application for the concurrent operation of investment trust fund managers, discretionary fund managers, and investment advisors. The related orders and accompanying measures are expected to be completed within six months.
In regard to the cosmetics industry, the Department of Health continuously revises the scope baselines for medicated cosmetics and simplifies rules and procedures for registration, and is also evaluating the prior examination permit system as a substitute for the pre-market examination operation. A revision of the relevant statute, which will facilitate harmonization with international regulations, has been submitted to the Legislative Yuan for deliberation.
In the area of goodwill amortization in corporate M&As, the Taxation Agency indicates that goodwill can be amortized in accordance with the provisions of the Income Tax Act or Business Mergers and Acquisitions Act; and that to shorten the time for execution, the Taxation Agency has notified the National Tax Administrations in different areas to examine and verify outsourced price valuation reports on goodwill claimed by profitseeking enterprises.
The CEPD notes that the government has constantly carried out policy and regulatory liberalization along with other institutional reforms in recent years and that, in the process of structural transition and readjustment, coordination and communication with the ECCT and other foreign chambers of commerce helps the government gain a thorough understanding of the needs of business people and the obstacles they face. This enables the government to work out ways to resolve problems and speed up alignment with international systems.
[Source: Taiwan New Economy Newsletter No.136]